In my opinion he was only ever appointed so as to not lose the Sturt faithful after the Keane non-extension/sacking. I heard stories about training that were disparaging to all concerned, especially the club. Whether this resulted in on field results not going our way or whether the stories about training were true I'm not sure, however I know that we were just about to go through our darkest period in club history thereafter.
My understanding was that he was told he was too old/decrepid to keep playing for Sturt, so went to South.
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From Sturt's website:
1989 Former Sturt champion Rick Davies is appointed coach and the events of the previous year and the disunity caused by it make Davies' job impossible and the Blues plummet to tenth, the first time Sturt have finished in this position.
From
http://www.fullpointsfooty.net/south_adelaide_(3).htm
Cornes returned 'home' to Glenelg in 1985 and the Panthers endured a calamitous and much publicised start to the season under new coach, Don Scott, a former star ruckman with VFL side Hawthorn. South lost the opening 7 games of the season, and Scott was on his way, with ex Sturt star Rick Davies stepping into the breach with the unenviable task of trying to restore some respectability to the club. Over the remainder of the 1985 season, he actually succeeded to some extent in doing so: the Panthers won 8 of their remaining 15 games to clamber to 8th place on the ladder. The team also made a promising start to the 1986 season when it won its second Escort Cup grand final in three years courtesy of an 11 point victory over Graham Cornes' Glenelg. However, this achievement merely flattered to deceive, as over the course of the next three seasons the club's performances went from bad to worse. In 1986 and 1987, under Davies, South finished 9th and 10th respectively, before enduring the ignominy of another wooden spoon under Davies' replacement, John Reid, in 1988.
Wiki has part of it right (because he transferred as a player, then took on the coaching role when Scott departed):
The 1985 season saw him cross to South Adelaide where he took on the role of captain-coach. He played two seasons at the club before retiring.
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As for the truth, who knows!